Qantas to fly via Dubai under Emirates partnership deal

QANTAS will fly to London via Dubai instead of Singapore after the airline announced a partnership with Middle Eastern carrier Emirates today.

The 10-year agreement was signed this morning by Emirates president Tim Clark and Qantas CEO Alan Joyce.

The arrangement, which requires approval from the Australian Competition and Consumer Commission (ACCC), is expected to start in April 2013.

As a result Qantas has ended its longstanding partnership with British Airways, with the "Kangaroo Route'' via Singapore becoming the "Falcon Route'' after the national bird of the United Arab Emirates.

Mr Joyce said the partnership was necessary to return Qantas International to profit.

He said Emirates had a wonderful reputation for quality and it had been waiting to find the right partner.

Australian travellers will have more routes opened up in Europe, Middle Eastern and North Africa under the agreement.

Members of both airline's frequent flyer programs will also have the opportunity to earn rewards, recognition and gain lounge access.

Qantas will no longer fly to Frankfurt under the arrangement.

"Our Frankfurt services have been struggling for some time and our withdrawal from this route was inevitable," Mr Joyce said.

Mr JOyce said this was the most significant partnership the Qantas Group has ever formed with another airline, moving past the traditional alliance model to a new level.

"It will deliver benefits to all parts of the group," he said.

"As the world's largest international airline, with a network that perfectly complements our own, Emirates will help us give our customers across Australia a dramatically expanded range of travel options.

"Together with Emirates, Qantas will provide a unique one-stop hub service, as well as deeply integrated frequent flyer and customer benefits."

Qantas will fly daily A380 services from both Sydney and Melbourne to London via Dubai.

Between the two airlines there will be 98 weekly services between Australia and Dubai.

Qantas shares rose on the news, up 6.5 cents, or 5.8 per cent, to $1.19 at 10.15am AEST.

"A key objective is to make Qantas International strong and viable, and bring it back to profitability," he said.

"This partnership will help us do that, while building on our strengths in Qantas Domestic, Qantas Frequent Flyer and (low-cost carrier) Jetstar."

There also would be changes to the type of aircraft Qantas used in Asia, he said.

"We will be working through all these and other changes with our people, as with all relevant stakeholders," Mr Joyce said.

Qantas will terminate its agreement with British Airways from March 2013 as a result of the Emirates deal.

The British Airways agreement began in 1995.

"Over the past 17 years, the joint business with British Airways has been central to the Qantas network," Mr Joyce said.

"However, global operating conditions have changed and partnership with Emirates is the right strategy for Qantas."